Oil Sales Surged by 17.6% in the First 5 Months of FY2021-22

The sales of petroleum products soared by 17.6 percent from July 2021 to November 2021, during the first five months of the current fiscal year.

During the period the total sale of petroleum products stood at 9.60 million tons compared to 8.16 million tons during the same period in the previous year.

The increase in sales has been credited to the large consumption of furnace oil (FO) to generate electricity over this period.

However, the sales saw a decline in November 2021 as they fell by 12 percent compared to October 2021. The decrease was due to the low consumption of FO by power generation companies. According to analysts the low use of FO by power companies was due to the lower power requirements in the winter months.

In November, the consumption of petroleum products was recorded at 1.75 million tons, down from 1.99 million tons in October.

However, there was a slight growth of 1.72 percent in the consumption of petroleum products in November 2021, compared to November 2020 when the consumption stood at 1.72 million tons.

Double-digit growth was seen in all major categories including diesel, petrol and finance oil during the months from July to November.